The Link Administration Holdings Ltd (ASX: LNK) share price is falling again on Monday.
In early trade, the administration services company's shares are down 11% to $2.93.
This means the Link share price has now dropped 33% since this time last month.
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Why is the Link share price falling?
Investors have been selling down the Link share price for a couple of reasons.
One is the broad market weakness following another selloff on Wall Street on Friday. This has seen the ASX 200 index fall 1.5% today.
In addition, the Link share price has come under pressure after its takeover by Dye & Durham finally collapsed.
On Friday evening, Link revealed that three conditions precedent necessary to implement the scheme of arrangement have not been satisfied.
These were the Woodford Matters condition, the UK Financial Conduct Authority condition, and the Luxembourg Commission de Surveillance du Secteur Financier condition.
And with the time for satisfaction of the outstanding conditions now expired and no expectation that they will be satisfied, at the second court hearing, the court declined to make orders approving the scheme and dismissed the proceedings.
As a result, the takeover at $4.81 per share that was approved by shareholders in August will not go ahead.
What's next?
Link advised that it will pay shareholders a fully franked special dividend of $0.08 per share. The record date for the special dividend will be 30 September, with a payment date of 14 October.
The company also intends to evaluate alternatives for the business, including an in specie distribution of a minimum of 80% of its shareholding in PEXA Group Ltd (ASX: PXA), in order to maximise value for shareholders
Finally, management reaffirmed its guidance for FY 2023. It continues to expects low single digit percentage revenue growth and EBITDA growth of 8%-10%.
